La Petite Épicerie
Médéric Mille is the co-founder of La Petite Épiceriean online hobby shop that has become a brand in its own right. La Petite Epicerie is a veritable Ali Baba's cave for DIY (Do It Yourself) enthusiasts. With over 10,000 references, you'll find everything you need to create without limits.
A need for cash flow financing
La Petite Épicerie called on Karmen financing to meet its inventory challenges in response to strong growth in the company's B2B/wholesale division. La Petite Épicerie is experiencing strong growth in its B2B business, which requires the production of more and more upstream stock. In addition, retailers such as Cultura and Monoprix require 60-day payment terms. This requires La Petite Épicerie to tie up cash by anticipating its production almost 3 to 4 months in advance.
A need for cash flow financing
La Petite Épicerie called on Karmen financing to meet its inventory challenges in response to strong growth in the company's B2B/wholesale division. La Petite Épicerie is experiencing strong growth in its B2B business, which requires the production of more and more upstream stock. In addition, retailers such as Cultura and Monoprix require 60-day payment terms. This requires La Petite Épicerie to tie up cash by anticipating its production almost 3 to 4 months in advance.
For example, if La Petite Épicerie takes out €100,000 in cash in January, it will receive the goods between April and May, and then deliver them to the retailer's warehouse. The retailer, on the other hand, will only pay La Petite Épicerie from June onwards.
As a result, this creates a significant cash flow gap, of the order of 5 to 6 months between the time the SME starts production and the time the customer starts paying. La Petite Épicerie therefore needed short-term financing to support future production for new chains.
Our response
La Petite Épicerie decided to trust us with its financing for several reasons.
The first reason La Petite Épicerie turned to us was dissatisfaction with the financing solutions offered by its banks.
Indeed, the banks were unable to meet their financing needs. And this is largely due to the 2 years of COVID, which particularly disrupted business linked in part to La Petite Épicerie's physical stores.
On the other hand,Karmen's credit team was able to take into account B2B customer purchase orders when the bank was only able to take into account invoices. This made all the difference, because today, La Petite Épicerie's business and growth are based on orders, reservations and forecasts of future stocks correlated with purchase orders from B2B chains.
Following this feedback, La Petite Épicerie chose us for its financing. The process took around three weeks from the day the SME learned about Karmen to the day they received the funds. The fast, flexible and non-dilutive financing met their expectations, so much so that the SME would like to renew this collaboration for future creative productions!
La Petite Épicerie recommends Karmen to companies looking for financing to meet their cash flow needs simply and quickly. In fact, at Karmen, we place particular importance on understanding the needs of ambitious entrepreneurs like La Petite Épicerie in order to best support their growth in a dynamic, flexible and rapid way. 🚀
